Thanks to export tariff policy to relax, in recent years, suffering from over capacity fast growth pressure of fertilizer industry breathed a sigh of relief, urea and ammonium phosphate exports have increased significantly and foreign demand strong boost to the domestic market price, the operation of the market better. But in the long term, due to the momentum of production capacity growth is not reduced, the price of fertilizer products is difficult to have a substantial upside.

According to the latest data, 1~6 months of this year, China's chemical fertilizer imports 10000000 tons, an increase of 5.1%; imports 2220000000 U.S. dollars, an increase of 32.9%. Over the same period, China's fertilizer exports have also increased. Cbiw statistics show that from January to June 2015 China exports of mineral fertilizer and fertilizer 1612 million tons, with last year compared to the same period increased by 61.5%. Another reporter learned from the WWW, the first half of this year exports of 6740000 tons of urea, an increase of 61.6% over the same period last year. 1~5 month China's phosphate an ammonium export volume of 1174500 tons, compared with the same period last year 425100 tons, an increase of 176%. Insiders said that the incremental value of fertilizer imports belongs to the normal fluctuation range, while the export volume increased significantly mainly due to this side of good policy.

Export performance

For fertilizer imports value growth, Zhuo and information analysts Wang Qingfei in International Business Daily reporter interview said imports growth amplitude at a reasonable range, because this year the price of raw materials has risen, domestic market ammonium and diammonium prices higher than last year 15% to 20%. Therefore export volume and imports rose in surprise. From the perspective of imports, the current rate of 40% or so is dependent on imports, but the overall proportion of imports is down, because in recent years, the domestic production of potassium fertilizer increased capacity to increase. Fewer imports of urea and ammonium phosphate and compound fertilizer partly rely on imports, this is because foreign technology is better, and some economic crop area tend to use imported compound fertilizers.

Wang Qingfei said than imports more eye-catching is China's chemical fertilizer export volume is also on the rise, and inflation is high, such as urea compared to the same period increased 61.6%, which is the main source in the first half of this year to adjust the export tariffs of urea and ammonium phosphate. The urea export season in 7, 8, 9, 10 and four months, AP export season each year in May 16th ~10 month 15 days. And urea in 1~4 months and 11~12 months of export tariffs is the price of 15% plus 40 yuan / ton, according to 1800 yuan / ton of urea prices to calculate the peak season export tariffs nearly 300 yuan / ton, the off-season 7~10 month for 40 yuan / ton. Now the uniform tariff, AP tariff is 100 yuan / ton, urea is 80 yuan / ton. "As a result of the chemical fertilizer is one of the basic elements of agriculture, we must first ensure that the domestic supply, on this basis, we can talk about the export, so the country has always been the export of chemical fertilizer. In recent years, the tariff policy is characterized by a proper relaxation, which is due to the excess capacity in recent years, in order to ease the pressure, adjust the domestic market price and supply, so as to relax the export tariff." Wang Qingfei says.

The domestic industry to improve the situation

Recently, the Ministry of industry and information technology, the Ministry of raw materials industry division held a first half of 2015 the economic situation of chemical fertilizer industry forum. Feedback from the participating companies, the first half of this year, the overall smooth operation of the fertilizer industry, production, export volume increased, the industry has improved efficiency.

According to the National Bureau of statistics, in 2015 1~6 month, 24321000 tons of nitrogen fertilizer production (N), an increase of 16798000, of which 3.7% tons of urea production, an increase of 6.1%; 9563000 tons of phosphate fertilizer (P2O5), an increase of 12.8%; potash fertilizer production was 2814000 tons (pure K2O), an increase of 11.1%. 1~5 month, the fertilizer industry's main business income of 371830000000 yuan, an increase of 7.5%; total profit of 10990000000 yuan, an increase of 31.1%. Overall output rose, which is a substantial increase in exports and the formation of echo.

For late fertilizer varieties of the price trend, Wang Qingfei said that the current market price of urea has declined, but the latter trend also look at the export led to the situation; it is expected that the fertilizer and compound fertilizer will not have too much volatility, potash fertilizer, due to large supply this year, may price will decline, but specific to the use of farmers will not have too much volatility.